Construction materials in Cyprus have risen in price again. According to the Statistical Service, in February the Price Index reached 119.28 points (with a base value of 2021=100), which is 0.33% higher compared to January 2026.
On an annual basis, this indicator has also increased. Compared to February 2025, the index rose by 0.6%, confirming the ongoing pressure on the construction sector and the cost of new projects.
Which materials are rising in price the fastest
The most noticeable increase was recorded in the category of electromechanical equipment, where prices rose by 2.27%. Significant growth was also observed in the segment of wood, insulation materials, chemical products, and plastics — at the level of 1.64%. Mineral materials increased in price by 0.94%.
At the same time, some categories showed a decrease in prices. Metal products became cheaper by 0.45%, and products made from mineral raw materials decreased by 0.08%. Such fluctuations reflect the instability of global raw material markets and changes in supply chains.
Dynamics since the beginning of the year
From January to February 2026, the overall Index increased by 0.84% compared to the same period in 2025. This indicates a steady trend of gradual increases in construction resource costs, which has persisted for several years.
The rise in construction material prices directly affects the cost of real estate in Cyprus. Developers are forced to take into account the increase in expenses when implementing new projects, which may lead to higher prices for housing and commercial properties.
In conditions of active demand for real estate, especially from foreign investors, the market remains stable; however, further price increases may affect housing affordability. Experts also note that rising material costs impact the budgets of infrastructure projects, which are often valued in tens of millions of euros.
General trends and forecasts
The current situation is linked both to global economic factors and to local demand. In Europe, the construction sector continues to adapt to new environmental standards and energy efficiency requirements, which is also reflected in the cost of materials.
It is expected that in the coming months prices may continue to fluctuate; however, the overall trend will depend on international raw material markets, logistics, and energy costs. For Cyprus, this means continued pressure on the construction industry and a gradual transformation of the real estate market.